How to reduce the upgrading barrier

Nobody likes to get to the house of their dreams. Although many potential homeowners have been waiting for weeks, months, even years, waiting for the market to shift, many challenges do not leave – especially the burden of saving thousands of dollars for a down payment. Fortunately, if you are an independent mortgage broker, you have access to various record solutions for your borrowers.

One solution that you can start offering today

As a professional in the industry you know that most borrowers do not have to bring the entire 20% of the purchase price as a down payment when closing. But did you know that that number can go as low as 1%? Now United Wholesale MortGage offers a conventional purchase program of 1% to home buyers who meet certain income requirements. With this program, borrowers only pay 1% of the value of the house at closing, while UWM covers the extra 2%, up to $ 7,000. This extra 2% is considered a stock market for down payment and does not have to be repaid by the borrower at any time, so that their downtime money goes even further.

UWM President and CEO Mat Ishbia acknowledged that saving for a down payment is a serious obstacle for home buyers. “We remove that barrier with this product,” he said. “(Conventional 1% Down) is a victory for borrowers and will rather get them in a house with less money from their pocket. This gives independent mortgage brokers a considerable competitive advantage of their customers and brokers this purchase season.”

Free funds for other important expenses

By reducing the amount they need to save for their deposit, you help your borrowers free up extra money that can really come in handy when buying a house. Some common costs can use their savings for:

• Furniture or devices for their new house

• Entry costs

• Repairs of the house

The right partner makes the difference

In today’s ultracompetitive housing market, programs such as conventional 1% down reduced confusion and make the path to ownership even easier for home buyers.

Are you looking for a loan -crop for more products and benefits? Become a member of the UWM network. If you are a broker, visit Mortgage Matchup To make contact with a local loan expert today.

*The principal, interest and MI payment on a $ 200,000 30-year loan with a fixed interest rate at 6.50% and 97% loan-to-value (LTV) is $ 1,324.14. The annual percentage (APR) is 7,059% with estimated financing costs of $ 5,600. The principal and interest payments, which will continue for 360 months until they are fully paid, do not include taxes and premium for home insurance, which will result in a higher actual monthly payment. Rates up to date from 2/23/25. UWM pays the least of 2% or $ 7,000 of the down payment. The borrower pays 1% of the down payment (or the remaining deposit that is necessary if 2% higher than $ 7,000). Subject to approval of the borrower. Some exclusions can apply.